Technical outlook:
EURUSD bulls have taken out resistance at 1.1800 mark as highlighted on the 4H chart here. Ideally, the currency pair could be preparing for a pullback towards 1.1700/20 mark, which is also fibonacci 0.618 retracement of the recent upswing between 1.1660 and 1.1800/10 (not shown here). EURO is expected to rally towards 1.1900 and 1.2050 thereafter.
EURUSD has dropped between 1.2266 and 1.1660 in the last few weeks carving a series of resistance levels starting from 1.1900 marl. The meaningful downswing could be retraced over the next several trading sessions, pushing prices towards 1.1900, followed by 1.2050. Also note that 1.2050 is near fibonacci 0.618 retracement of the above drop.
High probability remains for a bearish bounce if prices manage to reach around 1.2050 mark. Furthermore, the resistance trend line is also seen to be converging with fibonacci 0.618 retracement. Bears might come back strong, to resume lower from there.
Trading plan:
Potential rally possible towards 1.1900 and 1.2050 against 1.1660.
Good luck!
